TASMANIA Police believe a Newstead house, that was deliberately lit last night, may have to be demolished.
The Tasmania Fire Service was called to the Wentworth Street two-storey property just before 11pm.
The house was engulfed with flames when it arrived, and the fire caused most of the windows in the weatherboard home to blow out.
Launceston Police sergeant Matt Stewart said no-one was home when the fire started and police yesterday deemed it deliberate.
``There is significant damage and the house will possibly have to be demolished,'' he said.
Police and the fire service were at the site investigating for most of the morning yesterday.
Sergeant Stewart said the fire started on the lower level.
Police urge anyone with information about the fire to call Crime Stoppers on 1800 333 000 or Launceston police headquarters on 6336 3701